Generate robust and consistent regulatory capital measures and compliance reports
Algo Credit Regulatory Capital helps financial institutions to generate robust, consistent and auditable regulatory capital measures and reports to support compliance with the Basel Accord and related local jurisdiction specific rules. It provides management with a detailed and holistic view of enterprise-wide risk, leveraging a powerful yet flexible data management platform that enables seamless integration with multiple risk analytics.
Algo Credit Regulatory Capital features include:
- Comprehensive regulatory compliance helps you comply with Basel’s regulatory capital regime.
- Enterprise-wide coverage enables calculation of regulatory capital measures across the organization and multiple regulatory jurisdictions.
- Advanced stress testing allows banks to probe the impact of potential economic shocks to their portfolios.
- Sophisticated analytics give decision makers a clear and detailed understanding of risk exposure.
- Flexible data management platform enables consolidation of enterprise risk and finance data.
Comprehensive regulatory compliance
- Algo Credit Regulatory Capital offers banks comprehensive coverage (Basel I, Basel II Standardized, Foundation and Advanced IRB, Basel III) to help meet credit risk compliance.
- Allows you to simultaneously calculate regulatory capital under multiple approaches, with the capacity to easily migrate from one approach to another.
- Enables you to generate reports to help support local regulatory compliance with a configurable module designed for easy parameterization of local regulations.
- Supports rapid implementation and ease of use with a wide range of pre-defined reports. In addition to existing risk aggregations and metrics, it allows the creation of user-defined attributes which can be used to create ad-hoc reports.
- Offers you comprehensive coverage of portfolios and asset classes from high volume retail (mortgages, credit cards), commercial and SME (Small and Medium Enterprise) accounts, to sophisticated capital markets trading operations and securitization exposures.
- Helps your financial institution shape risk management policies across the organization, with support for multiple regulatory jurisdictions under diverse regulatory discretions.
- Supports optimal auditability and transparency by providing detailed drill-downs to transaction level RWA calculations. It provides you with a comprehensive audit trail and detailed logs of actions carried out across the platform.
Advanced stress testing
- Algo Credit Regulatory Capital allows banks to probe the impact of potential economic shocks on their portfolios at the local level, as well as across risk categories, lines of business, asset classes or legal entities.
- Enables you to stress risk measures to evaluate impact on the overall risk-weighted assets and capital adequacy. The stress test analysis can be performed simultaneously with the base calculations, and displayed next to each other, for comparison and drill-down.
- Offers the advanced capability to flexibly define scenarios across multiple credit parameters.
- Yields the minimal possible capital requirements, taking into consideration relevant constraints such as regulatory eligibility and haircuts.
- Allows you to allocate undrawn amounts across multi-level complex lending facility structures, based on multiple rules including proportional to limit, availability and drawn amount.
- Offers you sophisticated analytics and management reporting in a user-friendly GUI designed for optimal clarity and ease of use. It provides detailed analysis and drill-downs to the transaction level, in addition to aggregation views based on standard or user-defined dimensions (e.g., product type, industry sector, asset class, PD band, EAD band, etc.).
Flexible data management platform
- Provides smart pooling techniques to speed up calculations, while allowing de-pooling to allocate risk to the granular level.
- Enables enhanced calculations and reporting, with extensible data management capabilities that allow easy addition of new attributes at the legal entity or transaction level as rules evolve.
- Supports seamless integration with other risk analytics upon its powerful yet flexible data management platform.